MiDA postpones Bidders Conference; opposition against ECG PSP heightens
The Millennium Development Authority’s (MiDA) has postponed its planned Bidders Conference for six shortlisted entities that have shown interest in the private sector participation (PSP) of the Electricity Company of Ghana(ECG).
According to MiDA, it will announce a different date later.
Even though a letter copied to Citi Business News did not have reasons for the cancellation, Citi Business News is informed that a law suit filed by one, Saaka Salia against MiDA, as well as the Trades Union Congress’(TUC) opposition to the conference forced MiDA to cancel it.
On Friday, October 28, 2016, Mr. Saalia warned MiDA of possible contempt of court t if it proceeds with its planned Bidder’s Conference over the privatization of the ECG since it is a defendant in a lawsuit.
In addition, the TUC in a strong worded letter to the Flagstaff House , accused MiDA of betraying the Union by going ahead to announce a planned Builders Conference when grievances by workers of ECG are being addressed.
The TUC warned that in line with a resolution passed at TUC’s 10th Quadrennial Delegates Congress held in August 2016 at KNUST, it will resist any attempt to privatize the ECG.
The TUC in the letter further impressed on government to stop MiDA from going ahead with the Bidders’ Conference and to ensure that prompt measures are taken to consider the options proposed by the Union.
According to the TUC, MiDA’s action is a demonstration of bad faith since deliberations with the Public Utility Workers’ Union (PUWU) of TUC who are opposed to the privatization has not concluded its work.
On his part, Mr. Salia also warned in a letter to MiDA that its action is “in blatant contempt of court as an injunction is pending in court against defendants from proceeding with or in any way whatsoever dealing with or participating in any processes touching and concerning further activities or dealings with the ongoing PSP in ECG processes in proposed Concession for the Management of, Operation of, and Investments in the Electricity Distribution Business of the Electricity Company of Ghana Limited, until the case has been determined.”